Chatham House Illegal Logging Update and Stakeholder Consultation 20-21 July 2006

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Chatham HouseIllegal Logging Update and
Stakeholder Consultation 20-21 July 2006

• Public Procurement of Timber
• State of Play in Denmark

By Sofie Tind Nielsen Karen Sau
Jespersen Ministry of the Environment Forest and
Nature Agency
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Content

• Background
• Evaluation
• Environment Ministers 9-point plan
• Forthcoming guidelines incl. temporary guidelines
• Concluding remarks

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Background

• 2003 Voluntary guidelines on public procurement
  of tropical timber
• 2005 Evaluation of the Danish procurement policy
• In collaboration with advisory Steering Committee
  comprising the timber trade, public buyers and
  NGOs
• 3 studies by outside consultants (project A, B,
  C)

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Evaluation - project designs

• Project A User survey assessment of economic
  and administrative consequences of possible
  amendments
• Project B Comparison w. other countries update
  on certification schemes
• Project C Legal and administrative aspects
• www.skovognatur.dk/Emne/Skov/Miljoe/Indkoeb/Expand
  ed_summary.htm

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The Danish Environment Ministers 9-point plan
Aim to improve the guidelines on public
procurement of legal and sustainable timber

1. Expand the procurement policy to all kinds of
   timber
2. Ensure that it will be easier for buyers and
   suppliers to understand and comply with the
   requirements for legal and sustainable timber
3. Target guidance towards the different needs of
   users
4. Encourage trade and procurement federations and
   other stakeholders to focus on legality and
   sustainability when purchasing timber

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The Danish Environment Ministers 9-point plan

• Encourage all ministers and mayors to develop
  green procurement policies, which include timber
  and which follow the recommendations in
  forthcoming revised guidelines
• Continue overall efforts to promote green and
  environmentally friendly procurement
• Continue to promote public procurement policy on
  timber in relevant international fora
• Further promote the certification of forests
• Further develop and finalise an ongoing timber
  tracking project in Russia

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Forthcoming guidelines Key objectives

• Applicable to all kinds of timber
• More transparent and clear
• Harmonisation
• Simpler procurement model

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Forthcoming guidelines

• Evaluation of
• Criteria for legality
• Criteria for sustainability
• Certification schemes
• Alternative documentation

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Criteria for legality (Not final)

• Logging only where there are legal harvest
  rights, by the holder of those rights
• Complying with regulation on permitted harvest
  levels, and with environmental and labour
  legislation
• Payment of timber royalties and other directly
  relevant fees
• Respect for other parties legal tenure rights
  that may be affected by timber harvest rights
• Complying with the requirements of CITES

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Criteria for Sustainability (Not final)

1. Legal, policy and institutional framework
2. Extent of forest resources
3. Forest health and vitality
4. Production functions of forest resources
5. Protection functions of forest resources
6. Biological diversity
7. Socio-economic functions?

To be maintained or improved
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Documentation

• Certification
• Standards/criteria
• Certification
• Accreditation
• Traceability
• Labelling
• Alternative documentation
• Certificates or verification schemes other than
  the accepted
• Export permits
• Certificates of origin
• Declarations from authorities
• Declarations from suppliers and subsuppliers
• and

Assessment by impartial third party with market
insight and knowledge
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Procurement model a phased approach

• 1. Legal and sustainable (best option)
• 2. Legal and progressing towards sustainable
• 3. Legal (minimum requirement)

1. Legal and sustainable or progressing towards
sustainable 2. Legal (minimum requirement)
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Temporary guidelines

• For assurance of minimum requirements for
  legality
• UK and Danish legality requirements correspond
  well
• -gtCSA, FSC, MTCC, PEFC and SFI
• Temporary - forthcoming guidelines may alter
  composition of schemes

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Concluding remarks

• Guidelines from 2003 are still valid
• Forthcoming guidelines not yet finalised
• Steering committee
• Public hearing
• Exchange of experiences

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Thank You